Shine Justice's FY20 result was solid and ahead of Morgans forecasts across most measures and earnings exceeded guidance for growth by around 10%.

The broker upgrades earnings expectations as the company expects earnings growth in FY21 in the high single digit range.

The analyst highlights litigation has traditionally been a defensive business, and the strong result in pandemic times illustrates this.

The final dividend of 2.75cps was ahead of forecasts, notes the broker.

The Add rating is maintained. The target price is increased to $1.44 from $1.23.

Sector: Consumer Services.

Target price is $1.44.Current Price is $0.79. Difference: $0.65 - (brackets indicate current price is over target). If SHJ meets the Morgans target it will return approximately 45% (excluding dividends, fees and charges - negative figures indicate an expected loss).

© 2020 Acquisdata Pty Ltd., source FN Arena